TIGER LOGISTICS (INDIA) LTD Investor Presentation November 2018

Transcription

1 TIGER LOGISTICS (INDIA) LTD Investor Presentation November 2018

2 Safe Harbor This presentation and the accompanying slides (the Presentation ), which have been prepared by Tiger Logistics(India) Limited (the Company ), have been prepared solely for information purposes and do not constitute any offer, recommendation or invitation to purchase or subscribe for any securities, and shall not form the basis or be relied on in connection with any contract or binding commitment whatsoever. No offering of securities of the Company will be made except by means of a statutory offering document containing detailed information about the Company. This Presentation has been prepared by the Company based on information and data which the Company considers reliable, but the Company makes no representation or warranty, express or implied, whatsoever, and no reliance shall be placed on, the truth, accuracy, completeness, fairness and reasonableness of the contents of this Presentation. This Presentation may not be all inclusive and may not contain all of the information that you may consider material. Any liability in respect of the contents of, or any omission from, this Presentation is expressly excluded. Certain matters discussed in this Presentation may contain statements regarding the Company s market opportunity and business prospects that are individually and collectively forward-looking statements. Such forward-looking statements are not guarantees of future performance and are subject to known and unknown risks, uncertainties and assumptions that are difficult to predict. These risks and uncertainties include, but are not limited to, the performance of the Indian economy and of the economies of various international markets, the performance of the industry in India and world-wide, competition, the company s ability to successfully implement its strategy, the Company s future levels of growth and expansion, technological implementation, changes and advancements, changes in revenue, income or cash flows, the Company s market preferences and its exposure to market risks, as well as other risks. The Company s actual results, levels of activity, performance or achievements could differ materially and adversely from results expressed in or implied by this Presentation. The Company assumes no obligation to update any forward-looking information contained in this Presentation. Any forward-looking statements and projections made by third parties included in this Presentation are not adopted by the Company and the Company is not responsible for such third party statements and projections. 2

3 Financial & Operational Overview

4 Performance Snapshot H1FY19 H1FY19 Revenue 1,548 Mn (+5% YoY) EBITDA 81 Mn (+14% YoY) PAT 48 Mn (+13% YoY) FY18 Revenue 3,242 Mn EBITDA 190 Mn PAT 114 Mn Revenue & Profitability impacted on account of GST transition 4

5 Q2 & H1FY19 Income Statement Particulars (Rs. Millions) Q2FY19 Q2FY18 YoY H1FY19 H1FY18 YoY Revenue % 1,548 1, % Operating Expenses ,321 1,272 Employee Expenses Other Expenses EBITDA % % EBITDA Margin 5.25% 4.90% 5.21% 4.79% Other Income Depreciation EBIT % % EBIT Margin 5.36% 4.89% 5.34% 4.74% Interest / Finance Cost PBT % % Tax PAT % % 5

6 Operational Metrix Twenty Feet Unit s (TEU s) Volume Industry wise Revenue Composition % 58,845 73,185 81,967 65,060 39,749 Projects Automobiles Commodities Others H1FY H1FY19 Top 5 Customers Contribution to Revenue % Segment wise Revenue Composition % Multimodal 20 62% 54% 58% 72% 18 84% H1FY19 Transportation CHA 26% 16% 27% 12% 11% 20% 26% 16% 6% 9% H1FY19 6

7 Historical Income Statement Particulars (Rs. Millions) FY18 FY17 FY16 FY15 Revenue 3,242 2,983 2,534 2,458 Operating Expenses 2,760 2,588 2,237 2,227 Employee Expenses Other Expenses EBITDA EBITDA Margin 5.85% 5.64% 4.98% 4.20% Other Income Depreciation EBIT EBIT Margin 5.85% 5.53% 4.94% 4.04% Interest / Finance Cost Exceptional Item (Gain) / Loss (13) PBT Tax PAT PAT Margin 3.50% 3.46% 2.88% 2.35% 7

8 Balance Sheet ASSETS (Rs Mn) Sep'18 Mar'18 Non-current assets Property, plant and equipment Capital work-in-progress - 76 Other intangible assets 2 2 Financial assets Investments 3 3 Trade receivables Loans 25 7 Fixed Deposit 0 0 Deferred tax asset (net) 9 7 Total Non-Current Assets Current assets Inventories - - Financial assets Trade receivables Cash and cash equivalents Bank balances 1 2 Other financial assets Other current assets 2 2 Total current asset ASSETS 1,083 1,143 EQUITY AND LIABILITIES (Rs Mn) Sep'18 Mar'18 Equity Equity Share capital Other equity Total Shareholders' funds Non-current liabilities Financial liabilities Borrowings 1 2 Trade payables Provisions for employee benefits Total Non-current liabilities Current liabilities Financial liabilities Borrowings Trade payables Other financial liabilities 1 12 Other current liabilities Income tax liabilities 5 23 Total Current liabilities EQUITY AND LIABILITIES 1,083 1,143 8

9 Performance Measurement Return on Capital Employed % Return on Equity % FY15 FY16 FY17 FY18 FY15 FY16 FY17 FY18 Net Debt to Equity Ratio 0.39 Net Debt to EBITDA Ratio FY15 FY16 FY17 FY18 FY FY16 FY17 FY18 9

10 Company Overview

11 Tiger Logistics - An Introduction TIGER LOGISTICS is a Multi-Vertical Global Logistics Solution Provider Established in 2000 Started in 2000 with the vision to become a one stop solution provider to all things Logistics Multi Vertical Tiger Logistics is one of the few logistics companies with experience of dealing with multiple industries Solution Provider We carve out tailored solutions based on customers needs and manage their end to end logistics requirement True to our Philosophy Providing Cost Effective, Error free, efficient & timely services to our clients Partnership Oriented We adopt an Asset light Business Model through Partnerships with Leading Carriers associated by a dedicated team of inhouse industry specialists 11

12 Capitalizing on our Strengths Strong Execution Our strong on ground force constantly thrives for efficiency in execution PAN India Presence Our strong network of agents and affiliates helps in swift & quick movement of goods Varied product mix We have hedged the risk of downturn in economy by having varied product mix One Stop Solution Having a large gamut of services makes us a complete logistic solution provider Asset Light Model Our Asset Light Business model results in Higher ROCE & ROE Low Leverage Through Optimum fund Utilization we have been a low leverage company Strong IT backup We have built strong IT infrastructure in our Systems to compliment our operational excellence 12

13 with a Global Presence 13

14 Leading FCL Player in India When Exporter has Full Container Load Exporter Freight Forwarder Shipping Lines Freight Forwarder Importer Our Association with multiple corporates across varied industries helps us to source Full Container Loads When Exporter has Less than Container Load Exporter LCL Freight Forwarder Shipping Lines Freight Forwarder LCL Importer Our Strong Network of LCL s provide us continuous business opportunities thus strengthening our position as a leading FCL player in India 14

15 Multi Segment Experience Operates on Asset Light Model Multi Industry Exposure Handles on an average 4500 TEU s Container Shipment Expertise in handling Project Logistics & Food Commodities Handles 500+ shipments per month Exposure to Varied products Started as a Custom House Agent in 2000 Recognized among the top 3 CHA of North India by Concor India Clearing Services for import & Export at all major ports & ICD s 15

16 with growing prospects in all segments Multimodal Transport [Rs. mn] 2, Transportation [Rs. mn] 1,526 1,366 1,704 1, FY15 FY16 FY17 FY18 H1FY19 FY15 FY16 FY17 FY18 H1FY19 CHA [Rs. Mn] FY15 FY16 FY17 FY18 H1FY19 16

17 servicing multiple clients 17

18 across varied sectors Projects & Heavy Lifts Yarn & Textiles Automotive Segment Commodities Logistics for Defense Sector Consumer Durables & Others Cold Chain Logistics thus diversifying risk profile 18

19 Asset Light Model Our USP Partnership based approach Leveraging on the strengths and fleets of partners without reorienting the wheel to create large Asset base Asset Light Model and helps Balance Sheet Management Allows us to focus on improving working capital efficiency rather than asset creation thus generating superior returns allows us greater flexibility to expand portfolio Asset light model encourages us to enhance our services and solutions portfolio which in turn increases value proposition for the customer 19

20 Exclusive Agreement The Company has signed an exclusive agreement with USA based M/s Compass Forwarding Co. Inc. (Compass) and its subsidiary M/s Falcon Maritime & Aviation Co. Inc. (Falcon) Both these companies have decades of experience in the International Logistics sector As per the agreement, Tiger Logistics India Ltd along with Compass and Falcon agrees to service the markets of USA, Kingdom of Saudi Arabia and India on Exclusive basis. The agreement also provides for mutual support to each other on non-exclusive basis for Brazil India tradeline. This will help to generate robust order-book in the coming quarters and opens doors for Tiger Logistics to be a significant player especially in Indian Imports and Indo-US tradeline which is at a nascent stage currently About Compass Forwarding Co. Inc.: Compass is over 50 years old and has been at the forefront of innovation in the transportation logistics industry. They have extensive experience in industries including aviation, compressed gas, chemicals, textiles, government services, pharmaceuticals, food service and retail sectors. About Falcon Maritime and Aviation: Falcon Maritime and Aviation has years of experience and expertise to transport high volumes of cargo worldwide efficiently and safely. The company is an industry leader in international transportation viz; Vessel chartering, Break Bulk, AMS and Air Services and maintains a global partnership network that covers over 90 countries. 20

21 Future Strategy Leverage & Deepen Relationships To strengthen and enhance the strong relationships with existing partners & Associates Domestic Logistics & LCL Leveraging existing network & infrastructure to enter Domestic Logistics segment and be part of the LCL Segment in India New Verticals To utilize the cash generated through existing verticals to enter new avenues of growth Strengthen capabilities in New Geographies To enhance the network of agents & partners in new geographies further enhancing global competitiveness and capability to serve the customer 21

22 Industry Snapshot

23 Indian Logistics Scenario $ 200bn 35/160 Rank 13% Auto, Pharma, Textiles $ 585bn Size of Logistics Sector Logistics Industry is poised to grow to 200bn by 2020 Logistics Performance Index India ranked 35 in Global LPI jumping 19 places from 2014.LPI is a barometer for gauging trade logistics performance Logistics cost as % of GDP Total Logistics cost is 13% of GDP. Comparative figures for China is 18% while for USA is 8.5% Industries driving growth Uptick in demand is driven by Automobiles, Pharmaceutical, Textiles & Cement Industry Government s Investment Government has proposed to invest USD 585bn to improve Logistics sector including Road, Rail, Air & Sea Ports Source - Industry Reports 23

24 Demand Drivers Manufacturing Demand 1 Trillion US$ Size of Manufacturing sector by % Contribution to GDP by 2025 from 16% currently Agriculture Demand Second largest producer of vegetables and fruits Shortage of Infrastructure to store agricultural produce Factors Driving Demand Consumption Demand Increase in Consumption at 6.7% during Consumer spending will more than double by th Largest Consumer Country by 2025 EXIM Demand Global demand of Made in India goods increasing Better Port Infrastructure to help EXIM propel further Source - Industry Reports 24

25 Challenges Infrastructure Poor road and highway Quality increases in transit days and cost of operation Competition Increasing Competition from Global as well as Domestic players Trained Staff Lack of Trained & Educated staff leads to slower adoption of technology Loss in Transit Goods are lost or stolen during transit which leads to operational loss Source - Industry Reports 25

26 Make in India Growth Opportunity AIM INDIA Competitive Manufacturing Hub Increase India s share in Global Manufacturing GLOBAL Investment & Industries being set up in India LOGISTICS Will play a vital role in making it a success READY Built Strong network to grab the opportunities 26

27 The Journey so far

28 Milestones 2004 Started Transportation Segment 2014 Started as a Custom House Agent Achieved Revenue of INR 250 Crores Started Multimodal Transport Operations(MTO) Segment 28

29 Strong Promoter Prowess First Generation Entrepreneur Graduate from Delhi University Started Tiger Logistics with a team of 8 People Previously associated with Hero Moto Corp Specialized in International Logistics Instrumental in bringing BMW Bikes to India Received Numerous Awards Associated with various NGO s 29

30 Recognition & Awards 30

31 Accreditations & Affiliations 31

32 Our Credentials

33 BHEL Limited Ported to Piraeus, Greece 33

34 ABB Limited Ported to Montevideo, Uruguay 34

35 HAL Limited 60 Dornier Aircraft Ported to Ruag, Germany 35

36 HI-TECH Limited 300 TEU s Bio Power Plant Project Ported to Laem Chabang, Thailand 36

37 For further information, please contact: Company : Investor Relations Advisors : Tiger Logistics(India) Limited. CIN - L74899DL2000PLC Mr. Vishal Gupta, Compliance Officer csvishal@tigerlogistics.in Strategic Growth Advisors Pvt. Ltd. CIN - U74140MH2010PTC Mr. Shogun Jain / Ms. Ami Parekh shogun.jain@sgapl.net /ami.parekh@sgapl.net /